REAL ESTATE 2025-2026 PRACTICE EXAM WITH
ELABORATE QUESTIONS AND ANSWERS GRADED A+
INSTANT PASS
Brokerage definition...
the business practice of bringing together the parties in a practice.
What are two examples of special use property?
schools and cemetery
What is an example of functional obsolescence?
bathroom
Principal definition...
a consumer of real estate services who has entered into an agency relationship with a broker
or another licensee employed by a broker.
Capitalization definition...
the process of determining the present value of a property from its future income.
What is the salespersons obligation to a buyer under single agency listing?
Inform the buyer
What is homeowners’ insurance?
Insurance to protect owners from fires and other etc.
Special agent definition...
the type of agency in which the principal authorizes the agent to represent the agent in "one
specific transaction or business activity"
, Which is not used to determine cost approach to estimate value?
-Quantity Survey Method
-Unit-in-Place Method
-Square Foot Method
-Gross Rent Multiplier Method
Gross Rent Multiplier Method
What is steering?
the unlawful act of keeping a buyer away from certain communities or guiding them to
purchase in certain communities.
Entitlement to commission when transaction is not consummated.
Except when listing broker does not disclose information
Can a salesperson give legal advice?
No, not unless they are an attorney.
Who determines the commission in a listing contract?
An agreement between the owner and broker
Transfer tax is typically paid by for by whom?
Buyer and seller
Blockbusting definition...
An illegal real estate practice caused by inciting fear and panic selling by suggesting that
persons of minority background are or may be moving into an area or that the majority of
residents are moving out of an area.
Net listing definition...
a type of listing in which a seller desires to sell real property and receive a guaranteed amount
of money for the sale, so that the broker's commission is any sale price amount of money
over and above the guaranteed price to the seller.
ELABORATE QUESTIONS AND ANSWERS GRADED A+
INSTANT PASS
Brokerage definition...
the business practice of bringing together the parties in a practice.
What are two examples of special use property?
schools and cemetery
What is an example of functional obsolescence?
bathroom
Principal definition...
a consumer of real estate services who has entered into an agency relationship with a broker
or another licensee employed by a broker.
Capitalization definition...
the process of determining the present value of a property from its future income.
What is the salespersons obligation to a buyer under single agency listing?
Inform the buyer
What is homeowners’ insurance?
Insurance to protect owners from fires and other etc.
Special agent definition...
the type of agency in which the principal authorizes the agent to represent the agent in "one
specific transaction or business activity"
, Which is not used to determine cost approach to estimate value?
-Quantity Survey Method
-Unit-in-Place Method
-Square Foot Method
-Gross Rent Multiplier Method
Gross Rent Multiplier Method
What is steering?
the unlawful act of keeping a buyer away from certain communities or guiding them to
purchase in certain communities.
Entitlement to commission when transaction is not consummated.
Except when listing broker does not disclose information
Can a salesperson give legal advice?
No, not unless they are an attorney.
Who determines the commission in a listing contract?
An agreement between the owner and broker
Transfer tax is typically paid by for by whom?
Buyer and seller
Blockbusting definition...
An illegal real estate practice caused by inciting fear and panic selling by suggesting that
persons of minority background are or may be moving into an area or that the majority of
residents are moving out of an area.
Net listing definition...
a type of listing in which a seller desires to sell real property and receive a guaranteed amount
of money for the sale, so that the broker's commission is any sale price amount of money
over and above the guaranteed price to the seller.
